Dan Martell - August 07, 2017


The 3 Phases of SaaS Sales


Episode Stats

Length

4 minutes

Words per Minute

194.51598

Word Count

856

Sentence Count

44


Summary

Summaries generated with gmurro/bart-large-finetuned-filtered-spotify-podcast-summ .

Transcript

Transcript generated with Whisper (turbo).
00:00:00.160 Rolls.
00:00:01.000 When I think of rolls, I think of 50 Cent's song like
00:00:03.880 riding around on my Escalade, riding on blades.
00:00:08.880 I don't know where I get that.
00:00:10.720 Oh, I want to hear that song now.
00:00:12.940 Have you ever, yeah, I'm gonna go play it.
00:00:22.820 The three activities of a SaaS sales process.
00:00:26.660 In today's video, I'm gonna share with you how to avoid
00:00:28.800 the frustration of hiring a salesperson
00:00:31.900 that isn't performing or maybe you're doing
00:00:34.040 10 to 25,000 and MRR in your SaaS business
00:00:37.380 and you want to scale it up so you're thinking
00:00:39.040 of hiring salespeople or you're doing
00:00:41.220 most of the sales yourself and you're like,
00:00:42.820 when is the right time for me to bring somebody else on
00:00:45.760 to this process to help me get more bandwidth?
00:00:48.480 You know, I've been fortunate enough to coach
00:00:50.420 and help scale many of my clients' SaaS businesses.
00:00:53.360 I've done it for my own companies
00:00:55.060 and there's definitely three specific areas
00:00:58.020 that you need to get right to do this in an efficient way
00:01:00.520 or you end up spending a lot of money.
00:01:01.920 I mean, at the end of the day, people is probably
00:01:03.920 the most expensive line item on your balance sheet
00:01:06.920 and understanding how to get them productive
00:01:08.860 and executing and get you new customers
00:01:10.300 is gonna be the number one key to making this all work.
00:01:13.200 So the first activity is sourcing.
00:01:15.580 How do you build a process that,
00:01:18.400 in a repeatable, predictable way, gets you new leads,
00:01:21.780 new marketing leads, new qualified leads.
00:01:23.940 Some people call these MQLs, marketing qualified leads.
00:01:26.980 Some companies call this their SDRs,
00:01:29.820 your sales development reps.
00:01:30.880 But sometimes it's outbound calls or it's inbound processing
00:01:34.480 from leads that come through your website.
00:01:36.220 But it's the demand gen activity.
00:01:38.700 So I call that sourcing.
00:01:39.900 So there's a whole bucket of just sourcing activities
00:01:42.960 that need to go on to make sure that you get qualified leads
00:01:47.160 to kick off to the second activity in the process
00:01:50.400 which is closing, right?
00:01:52.500 So number two is closing.
00:01:53.480 If you've got a sales flow in your business
00:01:57.080 then you've got closers.
00:01:57.960 You've got people that are able to do demos
00:02:00.220 to discover the customer's needs,
00:02:01.920 to deliver solutions to those needs,
00:02:03.760 to ask for the sale.
00:02:06.120 Many entrepreneurs are doing this process themselves
00:02:08.960 and they don't have somebody sourcing.
00:02:10.500 And this is where I think there's a real opportunity
00:02:12.660 for you to bring that person in.
00:02:14.140 At the end of the video, I'm gonna share with you
00:02:16.000 how to consider the right timing
00:02:18.380 for bringing somebody in to augment that specific activity.
00:02:21.600 So in the closing steps, some people call them sales execs,
00:02:24.840 account execs, salespeople.
00:02:27.040 Some people are tricky and they call them
00:02:28.840 customer something people but literally they're,
00:02:32.440 you know, if they manage a quota,
00:02:33.880 if they're quota carrying people,
00:02:35.180 then they're salespeople and it's all about
00:02:37.340 the closing activity.
00:02:38.680 The third big bucket is about developing.
00:02:41.980 You know, I think this is a huge opportunity,
00:02:43.480 especially if you start to get on year two of your product,
00:02:46.700 you get close to year three.
00:02:48.500 You have customers, they've experienced value
00:02:51.560 And this is your opportunity to really develop the account,
00:02:54.360 right, or create new, what's called expansion revenue
00:02:57.600 for your SaaS business.
00:02:59.000 So this can be done through a function or role
00:03:01.300 called customer success.
00:03:03.340 But they're also accountable for growing the account.
00:03:06.400 That's why I call it a developing role.
00:03:07.980 So those three play into each other.
00:03:10.580 One is sourcing, two is closing, and three is developing.
00:03:13.780 Now, here's the tip.
00:03:15.680 If you want to understand when's the right time
00:03:17.460 to bring somebody in, it's whenever the person's
00:03:20.720 primary role is taken over by 20% activities that is the other
00:03:25.020 step.
00:03:25.760 So if I'm just doing sales and I notice that 20% of my time is
00:03:30.960 qualifying and sourcing leads, then that's a great opportunity
00:03:34.240 for the founder to say, you know what, maybe it's time we hire
00:03:36.200 somebody to take over that part.
00:03:38.000 Or if you're a sales person and you're also doing a lot of
00:03:40.540 customer success and expanding and kind of renewals are coming
00:03:43.900 up and you're trying to kind of expand and grow that account,
00:03:46.480 the developing activity, then maybe it's time to hire somebody
00:03:49.880 to just lead and manage customer success in your business.
00:03:52.840 But it's the 20% rule applied to each different activity.
00:03:57.280 That's what I have for you.
00:03:58.380 So if you want to grow your business,
00:03:59.480 make sure you focus on sourcing, closing,
00:04:01.560 and developing your accounts.
00:04:03.060 As per usual, I want to challenge you
00:04:04.400 to live a bigger life and a bigger business,
00:04:06.300 and I'll see you next week.
00:04:07.760 If you like this video, be sure to subscribe to my channel
00:04:10.440 to get other tips and strategies
00:04:11.560 on how to start and grow your business.
00:04:13.100 I'd also encourage you to join my newsletter
00:04:14.900 where I share exclusive invites,
00:04:16.600 free entrepreneurial training, and other community contests.
00:04:19.100 and if you want to keep going I've got two other videos queued up ready for you to go.
00:04:22.940 I'll see you next week.